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21 Jun

The first Regional Greenhouse Gas Initiative auction netted a total of ,575,783 to be divided by the six states offering these allowances. On the other hand, perhaps I’m being too hard on the utilities and other bidders because the sole reason this auction occurred is because these respective state legislators were seduced by the twin thoughts of appearing to address the phantom problem of manmade global warming while adding a few dollars to their state treasuries – without overtly raising taxes.

(Never mind that these utilities need to get that money back somehow – unfortunately for them they have far fewer methods to raise the revenue to maintain their own profitability.) So where will this million go to?

(As it stands, we might get a quarter back on our electric bill. ) Of course, much of our booty is targeted toward low- and moderate-income homeowners.

Certainly they could use the help but I’ve never seen the idea of redistribution from a private corporation through a governmental entity (who naturally gets their cut) to a targeted group as one which provides either efficiency or incentive for betterment of the lower class.

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This is the first of what should be a quarterly series of RGGI auctions, the next one will occur in December.

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